Risk-off mood drags US crude oil 2.94% lower

Yesterday at a glance: West Texas crude draws back 2.94% to close at $66.34 per barrel yesterday.

The Commodity Channel Index (CCI) indicator is below -100, meaning the market price is unusually low and below its rolling moving average. Technical analysis indicates that a new, strong downtrend could be forthcoming with short positions favored. West Texas crude has just crossed the lower Bollinger Band® at $70.79, indicating further losses could be forthcoming. Despite this, the Relative Strength Index has gone below 30, going into oversold conditions and allowing more gains.

Several technical indicators are adding weight to the bearish momentum seen yesterday and forecasting West Texas crude to extend its recent losses.

West Texas crude's value drop coincided with the fact that Natural Gas is down to $2.35, losing 16.4 cents, after ending the previous session around $2.51. Brent Crude Oil goes down 2.9% yesterday and closed at $74.7.

Though US crude oil has been dropping, other Energy have been performing better: Heating Oil improves 1.35% yesterday and closed at $2.64.

West Texas crude has fallen back around 44.02% over the past 9 months, from a notable high of $122.09.